Aditya Birla SL Small Cap Fund Direct Growth Review 2026: NAV, Returns, Portfolio & Should You Invest?

Aditya Birla SL Small Cap Fund Direct Growth Plan has a NAV of ₹116.7852 as of 28 August 2026 and an AUM of ₹5,749 Cr. Its 1-year, 3-year and 5-year returns are 24.39%, 17.41% and 15.81%, and the scheme sits in the High Risk bucket.

Our view is that this is a small-cap fund for investors who can accept sharp swings in return in exchange for long-term compounding potential. The fund has stayed close to its benchmark over 5 years, while the shorter-term numbers show stronger recent momentum. The portfolio is heavily tilted toward small caps, so the return pattern can change quickly when market leadership shifts.

Quick facts

The fund is managed by Abhinav Khandelwal and Dhaval Joshi.

Source data date: as of 28 Aug 2026

Performance

The fund has had a notably stronger recent run than its benchmark. Over 1 month, 3 months and 1 year, it stayed ahead of the Nifty Small Cap, which suggests that the latest phase has been supportive for the portfolio. The 1-year gap is especially large, showing that the fund has captured the recent upswing more effectively than the index.

The longer record is more balanced. Over 3 years, the fund still leads the benchmark, but the margin is much smaller than in the short term. Over 5 years, the fund is essentially in line with the benchmark, with the benchmark very slightly ahead. That tells us the strategy has not relied on one smooth style of market leadership; instead, it has gone through stronger and softer stretches.

The return path also points to meaningful volatility rather than a straight line of compounding. The shorter-horizon trend improved after a softer stretch in the middle of the year, and the 3-year path shows similar swings before recovering. For long-term investors, that matters because the fund’s upside has come with periods where momentum was less consistent. The key question is whether an investor is comfortable with that uneven pattern in exchange for a fund that can participate strongly when small caps are favoured.

Against the benchmark, our view is that the fund currently shows stronger near-term behaviour but only modest long-run separation. That combination usually matters more to investors who are evaluating consistency across full cycles than to those who are focused only on the last few months.

Source data date: as of 28 Aug 2026

Peer comparison

This assessment is prepared by Uniapps Investment Adviser Pvt. Ltd. under SEBI Registered Investment Adviser registration INA000017639.

On 1-year performance, the fund trails several peers that have posted stronger recent returns, including Bank of India Small Cap Fund Direct Growth Plan, Motilal Oswal Small Cap Fund Direct Growth Plan and Union Small Cap Fund Direct Growth Plan. That suggests the recent phase has been positive, but not the strongest among the visible comparison set.

The longer horizon gives a more mixed picture. The fund’s 3-year return is lower than Bank of India Small Cap Fund Direct Growth Plan, Union Small Cap Fund Direct Growth Plan and ITI Small Cap Fund Direct Growth Plan, while its 5-year return is below the funds where a 5-year figure is available. At the same time, some peers do not have longer-period figures available, so the comparison is not uniform across all schemes.

Our interpretation is that the short-term peer picture and the longer-term peer picture are pointing in the same general direction: the fund has been competitive, but the available longer-run numbers suggest that peers have delivered stronger compounding in several cases. That does not change the fund’s appeal as a small-cap option, but it does mean the investor is accepting a higher-variation path without a clear edge in the full-cycle comparison.

Source data date: as of 28 Aug 2026

Portfolio: where your money goes

The portfolio is heavily concentrated in small companies, with 78.48% in small caps, 14.61% in mid caps, 0.03% in large caps and 6.88% in other holdings. That mix tells us the fund is designed to participate in the smaller end of the market rather than balance itself around large-cap stability.

The sector mix is broad enough to avoid a single-theme portfolio, but the leading sector is still meaningfully larger than the others. Automobile & Ancillaries at 17.5% is ahead of Bank at 12.83% and Finance at 10.97%, so it may have the greatest influence on short-term portfolio behaviour if that segment moves sharply.

The largest individual holding listed is Multi Commodity Exchange of India Limited at 5.55%, while City Union Bank Ltd and WABCO INDIA LTD. also carry sizeable weights. Even so, the bigger story is the small-cap-heavy market-cap mix rather than any one stock. That means the fund could remain sensitive to changes in liquidity, earnings delivery and sentiment toward smaller companies.

In our view, the combination of 78.48% small-cap exposure and a spread across five sectors gives the fund a clear style identity. It may benefit when smaller businesses are in favour, but it can also react more sharply when market leadership shifts away from that part of the market.

Source data date: as of 28 Aug 2026

Who should invest

This fund suits investors who are comfortable with High Risk and who can hold through uneven performance. The 1-year return is strong, but the 3-year and 5-year figures show that the path is not smooth and that the benchmark gap has been small over longer stretches.

It is better aligned with a long investment horizon because the portfolio is dominated by small caps, which can be volatile. The main trade-off is straightforward: the fund offers meaningful upside participation when small caps are in favour, but the investor must be willing to accept sharper swings and periods when the longer-term edge is modest.

Tax and exit load

Exit load: 1% if units are sold on or before 90 days; nil after 90 days.

Source data date: as of 28 Aug 2026

Frequently asked questions

What is the current NAV of Aditya Birla SL Small Cap Fund Direct Growth Plan?
Its NAV is ₹116.7852 as of 28 August 2026.

What are the fund’s 1-year, 3-year and 5-year returns?
The fund’s returns are 24.39% over 1 year, 17.41% over 3 years and 15.81% over 5 years.

How does the fund compare with its benchmark?
It has beaten Nifty Small Cap over 1 month, 3 months, 1 year and 3 years, while the 5-year return is slightly below the benchmark.

How does it compare with other small-cap funds on available return figures?
On the visible comparison set, its 1-year return trails several peers, and its 3-year and 5-year figures are also below the peers with available longer-term numbers.

What is the minimum SIP amount?
The minimum SIP amount is ₹100.

Who manages the fund and what is the exit load?
The fund is managed by Abhinav Khandelwal and Dhaval Joshi. The exit load is 1% if units are sold on or before 90 days, and nil after 90 days.

Bottom line

This fund has a stronger recent run than its benchmark, but the longer-term picture is more measured, with 5-year performance roughly in line with the index. Compared with the peer set, the available return figures show that several funds have delivered stronger longer-run numbers. The High Risk profile and small-cap-heavy portfolio mean the fund is built for investors who can tolerate volatility. Its broad sector spread, led by Automobile & Ancillaries, adds diversification within a clearly small-cap-oriented strategy.

Published on 31 August 2026 at 12:57 PM IST